Multiple Choice
Bubble-Up, Inc., is a small manufacturer of educational toys for children under age 10.It has co-existed with three other competitors in the educational toy industry for over 20 years, each of them maintaining a stable market share.There is a widespread rumor that Mega-Toy, Inc., the market leader in the broad children's toy market, has decided to target educational toys.Which of the following statements is MOST likely true?
A) The owners of Bubble-Up are unconcerned about Mega-Toy's entry to the market because of the resource dissimilarity between the firms.
B) Bubble-Up's greater organizational slack will allow it to aggressively attack Mega-Toy.
C) Bubble-Up's smaller size may make it more flexible in introducing innovations than Mega-Toy.
D) Competitive rivalry will not increase for Bubble-Up because Mega-Toy is not dependent on the educational toy market.
Correct Answer:
Verified
Correct Answer:
Verified
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